The respondent created a deed of donation and trust in 1953 for the benefit of her unborn children as primary beneficiaries, and her sisters as secondary beneficiaries.
She later challenged the validity of the trust, arguing that gifts to unborn children and gifts in contemplation of death were void under the Civil Code.
The Supreme Court of Canada held that the trust was valid.
The Court found that under Quebec trust law, the trustee holds a sui generis property right in the trust property, removing the need for beneficiaries to exist at the time of creation.
The Court also held that the gift to the secondary beneficiaries was valid and not a gift in contemplation of death, as the donor had irrevocably divested herself of the property.
